Philippines FDI is still very good

Philippine Daily Inquirer has yet again spread a fake news on its paper claiming that there is a '90 percent decline in FDI (Foreign Direct Investment)' that has Duterte's finance team concerned.

Facts from NEDA and BSP

According to NEDA and BSP, there is only 14 percent decline in the FDI which is also a cause of concern, but the mainstream Inquirer has selected the bad data in order to paint something awful for the Philippines.

According to NEDA: "The National Economic and Development Authority (NEDA) on Tuesday gave the assurance that foreign investors remain confident to do business in the Philippines despite the 14 percent decline in foreign direct investments (FDI) in the first half of 2017."

This kind of headline the Inquirer made has generated ignorance among anti-Duterte fanatics, they are now claiming that foreign investment is now on its worse state because of Duterte's EJK which isn't even the case. There is no relationship between the unproven EJK and the decline in FDI.

Duterte's economic team are going to New York City to showcase our country's tax reform package, infrastructure projects, and top economic growth. The decline in FDI is not entirely the reason they're going there but only to show what the Philippines can offer to foreigners who want to invest in the country.

In fact, Philippines' FDI in the 1st Quarter of 2017 has risen to 17 percent and the inflow of FDI has been marked as very good on the current Duterte administration.

What turned off the investors?

According to a new survey, 22 percent of American executives and business owners prefer the Philippines over other Southeast Asian countries for its expansion site.

44 percent of them says that the overall business in the Philippines is 'improving' while 41 percent noted that it's the same.

The challenge, according to some US investors in the Philippines, is for the administration to get more effective in boosting business confidence and promoting investments which 52 percent noted that this administration is ineffective in this regard. 

Lack of local protectionism and availability of raw materials, infrastructure, complicated tax structures, government incentives, stable government, and political system are also noted as turn off for the investors which is what the government is trying to showcase in NYC.

So far, this government is doing a good job giving that the new tax reform is now on the final hearing. The Build Build Build program of this administration has also given investors hope to the Philippines.